Indian Stock Market Stages Impressive Recovery Amid Global Volatility
On Thursday, the Indian stock market experienced a notable turnaround, shrugging off initial weakness driven by mixed global cues. The benchmark indices demonstrated remarkable resilience, bouncing back from lower levels to finish the session with substantial gains. This recovery highlights the underlying strength and optimism among domestic investors.
Key Indices Close with Significant Gains
The Nifty 50 index surged by 76 points, closing at 25,418, while the BSE Sensex advanced 221 points to settle at 82,566. The Bank Nifty index also performed strongly, gaining 359 points to end at 59,957. This upward movement reflects a bullish sentiment prevailing in the market despite early corrections.
Precious Metals Witness Early Morning Buying
Following a sharp correction prior to the market close, gold and silver rates attracted strong buying interest in early morning deals on Thursday. The COMEX gold rate opened higher and reached an intraday peak of $5,480.05 per ounce. By 6:40 AM, the gold price was hovering around $5,400 per ounce.
Similarly, the COMEX silver rate opened on a positive note, touching an intraday high of $118.340 per ounce. At the same time, the silver price was approximately $115.270 per ounce. Rahul Kalantri, Vice President of Commodities at Mehta Equities, provided a detailed outlook on these precious metals.
Gold and Silver Technical Levels
- Gold has support at $5,340 and $5,220, with resistance at $5,525 and $5,600.
- Silver finds support at $112.10 and $108.75, while resistance is placed at $118.15 and $122.00.
- On MCX, gold price support lies at ₹1,63,050 and ₹1,60,310, with resistance at ₹1,70,850 and ₹1,73,950.
- Silver price on MCX has support at ₹3,80,810 and ₹3,74,170, and resistance at ₹3,91,810 and ₹3,98,470.
Indian Rupee Under Pressure Ahead of Union Budget
The Indian National Rupee (INR) traded marginally weaker against the US Dollar (USD), hovering near 91.94, down by 0.12 points. Jateen Trivedi, Vice President of Research for Commodity and Currency at LKP Securities, attributed this weakness to market caution ahead of the Union Budget scheduled for February 1, 2026.
Elevated bullion prices, which have increased the import bill, along with continued foreign institutional investor (FII) selling in domestic equities, have put additional pressure on the currency. Market participants are closely monitoring fiscal measures and steps to stabilize external balances. Technically, the rupee has immediate support near 91.55, with key resistance at 92.25.
Technical Outlook for Stock Indices
Osho Krishan, Chief Manager of Technical and Derivative Research at Angel One, noted that an Inverted Head and Shoulders pattern is emerging on the hourly chart for the Nifty 50 index, suggesting a potential bullish reversal in upcoming sessions. Key support zones are identified at 25,300 to 25,250 and 25,200 to 25,150, while resistance is seen at 25,500 to 25,580.
Vatsal Bhuva, Technical Analyst at LKP Securities, highlighted that the Bank Nifty has decisively closed above its 20-day Simple Moving Average (SMA), forming a strong bullish candlestick. Momentum indicators like the Relative Strength Index (RSI) show a bullish crossover, indicating renewed buying strength. The index is expected to trade in a broad range with support at 59,000 and resistance at 60,400.
Day Trading Strategy and Stock Recommendations
Osho Krishnan of Angel One advised traders to focus on thematic movers and adopt effective risk management strategies amid expected volatility leading up to Budget Day. Several stock market experts recommended eight intraday stocks for today, providing specific buy levels, targets, and stop-losses.
Expert Stock Picks for Intraday Trading
- MCX: Buy at ₹2,686, target ₹2,880, stop loss ₹2,590. The stock is trading above key moving averages and shows strong bullish momentum.
- Karur Vysya Bank: Buy at ₹302, target ₹322, stop loss ₹292. Recently broke out of consolidation, reaching an all-time high.
- Union Bank of India: Buy at ₹180, target ₹192, stop loss ₹173. Exhibits a consistent bullish pattern with solid support.
- BSE: Buy at ₹2,867, target ₹3,050, stop loss ₹2,770. Shows a strong bullish setup with potential for upside.
- Bharti Airtel: Buy at ₹1,969, target ₹2,070, stop loss ₹1,930. Maintains strong support and bullish pattern.
- Hero Motocorp: Buy at ₹5,580, target ₹5,820, stop loss ₹5,480. Positive bias after correction, with RSI indicating a buy signal.
- Samvardhana Motherson: Buy at ₹113.85, target ₹122, stop loss ₹110. Rising channel pattern suggests further gains.
- Torrent Power: Buy at ₹1,371, target ₹1,440, stop loss ₹1,342. Improved bias after moving past key moving averages.
Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
